Joint Plant Ownership

9 Months Ended

Sep. 30, 2020

Public Utilities Property Plant And Equipment [Abstract]

Jointly Owned Electric Utility Plant

Joint Plant Ownership - MGE Energy and MGE

MGE currently has ongoing jointly-owned solar generation construction projects, as shown in the following table. Incurred costs are reflected in "Construction work in progress" on the consolidated balance sheets.

	Ownership		Share of		Share of		Costs incurred as of		Date of Commercial
Project	Interest		Generation		Estimated Costs		September 30, 2020(a)		Operation
Two Creeks(b)	33	%	50	MW	$65	million	$63.1	million	November 2, 2020
Badger Hollow I(c)	33	%	50	MW	$65	million	$50.5	million	April 2021(d)
Badger Hollow II(c)	33	%	50	MW	$65	million	$5.0	million	December 2022(d)

(a)Excluding AFUDC.

(b) The Two Creeks solar generation array is located in the Town of Two Creeks and the City of Two Rivers in Manitowoc and Kewaunee Counties, Wisconsin.

(c)

The Badger Hollow I and Badger Hollow II solar farm is located in southwestern Wisconsin in Iowa County, near the villages of Montfort and Cobb.

(d)Estimated date of commercial operation.

MGE received specific approval to recover 100% AFUDC on each of these projects. During the three months ended September 30, 2020 and 2019, MGE recognized $1.9 million and $0.7 million, respectively, after tax, in AFUDC for Two Creeks and Badger Hollow I and II. During the nine months ended September 30, 2020 and 2019, MGE recognized $4.5 million and $0.8 million, respectively, after tax, in AFUDC for Two Creeks and Badger Hollow I and II.